Questions
What is the present value of $10,000 per year in perpetuity at an annual interest rate of 10 percent if the perpetuity starts in year=4?

What is the present value of $10,000 per year in perpetuity at an annual interest rate of 10 percent if the perpetuity starts in year=4? 


$10,000 

$75,131.48 

$1,000 

$68,301.35 

$82,402.36

In: Finance

Abby consumes only apples. Year 1 Year 2 red $1 each $2 each green $2 each...

  1. Abby consumes only apples.

Year 1

Year 2

red

$1 each

$2 each

green

$2 each

$1 each

In year 1 Abby buys 10 red apples and in Year 2 Abby buys 10 green apples.

Compute a CPI for apples for each year. Assume that year 1 is the base year in which the consumer basket is fixed. How does your index change from year 1 to year 2? (at least five sentences to explain)

Suppose Abby is happy eating red or green apples. How much has the true cost of living increased for Abby? (at least five sentences to explain)

  1. State and explain 3 differences between GDP deflator and CPI

  1. The Bureau of Labor Statistics announced that in January 2013, of all adult Americans, 143,322,000 were employed, 12,332,000 were unemployed, and 89,008,000 were not in the labor force. Use this information to calculate: the adult population, the labor force, the labor force participation rate, and the unemployment rate.

In: Economics

#4 Category Prior year Current year Accounts payable 41,400 45,000 Accounts receivable 115,200 122,400 Accruals 16,200...

#4

Category

Prior year

Current year

Accounts payable

41,400

45,000

Accounts receivable

115,200

122,400

Accruals

16,200

13,500

Additional paid in capital

200,000

216,660

Cash

???

???

Common Stock @ par value

37,600

42,000

COGS

131,400

171,986.00

Depreciation expense

21,600

22,040.00

Interest expense

16,200

16,974.00

Inventories

111,600

115,200

Long-term debt

135,000

138,946.00

Net fixed assets

376,752.00

399,600

Notes payable

59,400

64,800

Operating expenses (excl. depr.)

50,400

67,343.00

Retained earnings

122,400

136,800

Sales

255,600

335,450.00

Taxes

9,900

18,500.00

What is the firm's current year operating profit margin?

Submit

Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924))

unanswered

not_submitted

Attempts Remaining: Infinity

#5

Category

Prior year

Current year

Accounts payable

41,400

45,000

Accounts receivable

115,200

122,400

Accruals

16,200

13,500

Additional paid in capital

200,000

216,660

Cash

???

???

Common Stock @ par value

37,600

42,000

COGS

131,400

171,986.00

Depreciation expense

21,600

22,040.00

Interest expense

16,200

16,974.00

Inventories

111,600

115,200

Long-term debt

135,000

138,946.00

Net fixed assets

376,752.00

399,600

Notes payable

59,400

64,800

Operating expenses (excl. depr.)

50,400

67,343.00

Retained earnings

122,400

136,800

Sales

255,600

335,450.00

Taxes

9,900

18,500.00

What is the entry for the current year's cost of goods sold on a common-sized income statement?

Submit

Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924))

In: Finance

Given is the Income Statement for the year ended December 31, 20XX, Statement of Retained Earnings for the year ended December 31, 20XX

Given is the Income Statement for the year ended December 31, 20XX, Statement of Retained Earnings for the year ended December 31, 20XX and Comparative Balance Sheets for 20XW and 20XX of Maris Corporation:

 

Maris Corporation
Income Statement
Year Ended December 31, 20XX
  Sales$3,800,000
  Cost of goods sold2,250,000
   
     Gross profits1,550,000
  Selling and administrative expense540,000
  Amortization expense200,000
   
     Operating income810,000
  Interest expense43,000
   
     Earnings before taxes767,000
  Taxes440,000
   
     Earnings after taxes327,000
  
  Preferred stock dividends30,000
   
  Earnings available to common shareholders$297,000
  
  Shares outstanding198,000
  Earnings per share$1.50
 

  

Statement of Retained Earnings
For the Year Ended December 31, 20XX
  Retained earnings, balance, January 1, 20XX$840,000
     Add: Earnings available to common shareholders, 20XX297,000  
     Deduct: Cash dividends declared and paid in 20XX150,000
  
  Retained earnings, balance, December 31, 20XX$987,000
  
 

 

Comparative Balance Sheets
For 20XX and 20XW
 December 31, 20XXDecember 31, 20XW
  Assets     
  Current assets:     
     Cash $120,000  $105,000
     Accounts receivable (net) 540,000  528,000
     Inventory 640,000  614,000
     Prepaid expenses 29,000  58,000
       
       Total current assets 1,329,000  1,305,000
     Investments (long-term securities) 100,000  109,000
     Plant and equipment2,200,000  1,700,000 
     Less: Accumulated amortization964,000  764,000 
       
     Net plant and equipment 1,236,000  936,000
       
  Total assets $2,665,000  $2,350,000
       
  Liabilities and Shareholders’ Equity     
  Current liabilities:     
     Accounts payable $414,000  $270,000
     Notes payable 500,000  500,000
     Accrued expenses 34,000  50,000
       
       Total current liabilities 948,000  820,000
  Long-term liabilities:     
     Bonds payable, 20XY 140,000  100,000
       
       Total liabilities 1,088,000  920,000
  Shareholders’ equity:     
     Preferred stock 90,000  90,000
     Common stock 500,000  500,000
     Retained earnings 987,000  840,000
       
       Total shareholders’ equity 1,577,000  1,430,000
       
  Total liabilities and shareholders’ equity $2,665,000  $2,350,000
       
 

  

Compute the book value per common share for 20XW and 20XX for the Maris Corporation. (Round the final answers to 2 decimal places.)

  

 Book value
  20XW$   
  20XX$   
 

In: Accounting

U.S. Civilian Labor Force (thousands) Year Labor Force Year Labor Force 2007 178,978 2012 180,688 2008...

U.S. Civilian Labor Force (thousands)
Year Labor Force Year Labor Force
2007 178,978 2012 180,688
2008 179,715 2013 180,211
2009 178,171 2014 181,298
2010 178,710 2015 183,017
2011 179,055 2016 184,700

Click here for the Excel Data File

(a) Make a line graph of the U.S. civilian labor force data.

Line Graph A Line Graph B Line Graph C Line Graph D
  • Line Graph 1

  • Line Graph 2

  • Line Graph 3

  • Line Graph 4



(b)
Describe the trend (if any) and discuss possible causes.

Trend is  (Click to select)  positive  negative  . There seems to be an  (Click to select)  increase  decrease  in the rate of growth over the past few years.

(c) Fit three trend models: linear, exponential, and quadratic. Which model would offer the most believable forecasts? (You may select more than one answer. Click the box with a check mark for the correct answer and double click to empty the box for the wrong answer.)

  • Linearchecked
  • Quadraticunanswered
  • Exponentialunanswered



(d)
Make forecasts using the following fitted trend models for years 2017-2019. (Round your answers to the nearest whole number.)

t Linear Quadratic Exponential
11
12
13

In: Statistics and Probability

Item Prior year Current year Accounts payable 8,183.00 7,998.00 Accounts receivable 6,047.00 6,558.00 Accruals 967.00 1,357.00...

Item Prior year Current year
Accounts payable 8,183.00 7,998.00
Accounts receivable 6,047.00 6,558.00
Accruals 967.00 1,357.00
Cash ??? ???
Common Stock 10,760.00 11,094.00
COGS 12,629.00 18,144.00
Current portion long-term debt 5,006.00 4,946.00
Depreciation expense 2,500 2,811.00
Interest expense 733 417
Inventories 4,197.00 4,813.00
Long-term debt 13,675.00 13,302.00
Net fixed assets 51,628.00 54,611.00
Notes payable 4,366.00 9,933.00
Operating expenses (excl. depr.) 13,977 18,172
Retained earnings 28,546.00 29,809.00
Sales 35,119 45,546.00
Taxes 2,084 2,775

What is the firm's cash flow from operations?

In: Accounting

15-3.6 Balance Sheet Presentation of Available-for-Sale Investments During Year 1, its first year of operations, Galileo...

15-3.6 Balance Sheet Presentation of Available-for-Sale Investments

During Year 1, its first year of operations, Galileo Company purchased two available-for-sale investments as follows:

Security

Shares Purchased

Cost

Hawking Inc.

910

$48,776

Pavlov Co.

2,470

68,913

Assume that as of December 31, Year 1, the Hawking Inc. stock had a market value of $64 per share and the Pavlov Co. stock had a market value of $50 per share. Galileo Company had net income of $377,800 and paid no dividends for the year ending December 31, Year 1. All of the available-for-sale investments are classified as current assets.

a. Prepare the Current Assets section of the balance sheet presentation for the available-for-sale investments.

Galileo Company

Balance Sheet (selected items)

December 31, Year 1

Assets

Current Assets:

Available-for-Sale Investments, at Cost

$

Plus Unrealized Gain (Loss) on Available-for-Sale Investments

$

b. Prepare the Stockholders' Equity section of the balance sheet to reflect the earnings and unrealized gain (loss) for the available-for-sale investments.

Galileo Company

Balance Sheet (selected Stockholders' Equity items)

December 31, Year 1

Stockholders' Equity

Retained Earnings

$

Unrealized Gain (Loss) on Available-for-Sale Investments

In: Accounting

Your lender now offers you a 30-year fixed-rate home mortgage with 3.6% interest rate per year....

Your lender now offers you a 30-year fixed-rate home mortgage with 3.6% interest rate per year. If you can afford a monthly payment of $2279 , what is the maximum loan you can get? (Round to the nearest dollar.)

In: Finance

Currently, the term structure is as follows: One-year bonds yield 9.50%, two-year zero-coupon bonds yield 10.50%,...

Currently, the term structure is as follows: One-year bonds yield 9.50%, two-year zero-coupon bonds yield 10.50%, three-year and longer maturity zero-coupon bonds all yield 11.50%. You are choosing between one, two, and three-year maturity bonds all paying annual coupons of 10.50%. You strongly believe that at year-end the yield curve will be flat at 11.50%.

a. Calculate the one year total rate of return for the three bonds. (Do not round intermediate calculations. Round your answers to 2 decimal places.)



b. Which bond you would buy?

  • One-year bond

  • Two-year bond

  • Three-year bond

In: Finance

Currently, the term structure is as follows: One-year bonds yield 9.50%, two-year zero-coupon bonds yield 10.50%,...

Currently, the term structure is as follows: One-year bonds yield 9.50%, two-year zero-coupon bonds yield 10.50%, three-year and longer maturity zero-coupon bonds all yield 11.50%. You are choosing between one, two, and three-year maturity bonds all paying annual coupons of 10.50%. You strongly believe that at year-end the yield curve will be flat at 11.50%.

a. Calculate the one year total rate of return for the three bonds. (Do not round intermediate calculations. Round your answers to 2 decimal places.)



b. Which bond you would buy?

  • One-year bond

  • Two-year bond

  • Three-year bond

In: Finance